Taxpayers who sought relief for the penalties and interests have been granted a reprieve, as the Kenya Revenue Authority (KRA) has waived a total of Ksh209 billion through the Tax Amnesty Program.
In a statement released on Tuesday, February 27, a total of 227,071 taxpayers applied for the program after accruing Ksh209 billion in penalties for periods up to December 31, 2022.
The tax amnesty program grants a waiver for taxpayers who have incurred penalties and interests, allowing them to pay only the principal tax.
In this case, the taxpayers were required to remit Ksh14.5 billion in principal taxes.
"The Finance Act, 2023 introduced the Tax Amnesty Programme that allows Taxpayers to apply for a waiver of penalties and interest accrued for periods up to December 31, 2022, upon full payment of their respective principal taxes by June 30, 2024. The programme runs from September 1, 2023, to June 30, 2024," the statement read in part.
"The Kenya Revenue Authority (KRA) is pleased to report that so far as of February 20, 2024, 227,071 Taxpayers have benefited from waiver of penalties and interest amounting to Ksh209 billion under the ongoing Tax Amnesty Programme having paid a total of Ksh14.5 billion in principal taxes."
The Authority encouraged Kenyans with outstanding principal taxes to seize the opportunity provided by the program to get a reprieve.
This opportunity extends to taxpayers who have not filed their returns for the amnesty period.
"We also encourage Taxpayers with ongoing tax disputes to expedite resolution of their cases within the Amnesty period by considering out-of-court settlements through the Alternative Dispute Resolution (ADR) framework," stated KRA.
"This will enable them to take advantage of the ongoing Tax Amnesty, noting that the provisions on waiver of penalties and interest and abandonment of taxes, were repealed by the Finance Act, 2023."
President William Ruto's administration introduced the amnesty program to ease the burden on Kenyans who raised concerns over accrued interests and penalties.
The program, according to President Ruto, would align with his plan for a fair and inclusive economy.
